Skyworks Solutions Takes a Hit From the Trade War
Chipmaker Skyworks Solutions (NASDAQ: SWKS) is having a forgettable year. It's not that shares are in the red (they're surprisingly up 14.5% year-to-date as of this writing) or that new product development for 5G mobile network infrastructure and connected device development is stalling out. Rather, the company is suffering collateral damage from the trade disputes between the U.S. and China, putting a serious cap on sales and profitability.
The good news is that the 2019 fiscal year is now almost over, and Skyworks will start lapping the dismal results in the next few quarters. It's been a painful run, but growth may be in the cards again soon.
Skyworks reported fiscal third-quarter results this month in line with its updated guidance, provided after the White House placed a restriction on sales to Chinese telecom giant Huawei. Revenues fell 14% year over year to $767 million, and resulting earnings per share were down 47%. Yikes.
Source Fool.com
